FLS

[bjc]

BigSully and I have had a brief discussion about FLS on the MTW board.

Not much to it..nice earnings trends, cheap valuation.  

Edit:  Adding a long term chart.

[bjc]

Sully..was FLS on the IBD 100 this week?

Anyway, it continued higher toady.

[BigSully1]

Not on the list, bjc.

[BigSully1]

Still trading in a very tight range. Watch for this one to breakout if the market ever gets out of this funk.

[BigSully1]

Breakout!

[bjc]

NICE.

I saw something about a Qatar contract on the Yahoo! Message Board, but I can't find the news anywhere.  Do you have this piece of news somehow?


Edit:  When you're stupid, you're stupid.  And I'm stupid.

http://news.moneycentral.msn.com/provider/providerarticle.aspx?feed=BCOM&date=20071205&id=7906628
Market Report -- In Play (FLS)
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Briefing.comAll Briefing.com news

Flowserve wins major pump orders for pearl gas-to-liquids plant being developed by Qatar Petroleum and Shell in Qatar Co has won major pump orders for the fully integrated Pearl Gas-to-Liquids facility being developed by Qatar Petroleum and Shell on the eastern coast of Qatar in Ras Laffan Industrial City. Pearl GTL will utilize nearly 500 Flowserve API / ANSI process pumps.

Briefing.com is the leading Internet provider of live market analysis for U.S. Stock, U.S. Bond, and world FX market participants.

[bjc]

Sold my FLS at 96.38.  Just taking some profits and securing some cash after a great week. 

Still love this stock, I really can't justify selling it.  I will watch it drift higher to $125 and kick myself I have a feeling...

[BigSully1]

Flowserve Announces 2008 Target EPS Range of $5.10 to $5.40
Thursday January 31, 6:15 pm ET 
Also Provides Additional Details About Pending 2007 Results and Market Outlook


DALLAS--(BUSINESS WIRE)--Flowserve Corp. (NYSE: FLS - News), a leading global provider of fluid motion and control products and services, announced today a 2008 full year EPS target range of between $5.10 and $5.40.
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In addition, the company also provided additional details about its pending 2007 results, including backlog, revenue and operating margin improvement, as well as its market outlook.

As previously announced, bookings for the fourth quarter 2007 were $1.1 billion and for full year 2007 were $4.3 billion, both up 19 percent. The company's backlog on December 31, 2007 was approximately $2.3 billion, which is the highest year end level in the company's history. The company expects full year 2007 revenue to be approximately $3.75 billion, exceeding the previously announced target range of $3.6 to $3.7 billion. Flowserve also expects 2007 full year operating margin to be at or near an annual improvement of 300 basis points, the high end of its previously announced range.

From a market outlook perspective, the company continues to see a strong level of investment from its customers in the global oil and gas market, which continues to feed its large project business. Based on project activity levels in power, chemical, water and other general industries, the company's outlook for increased investment by its customers in these segments also remains positive. In all its served industries, the company continues to invest in market share growth and believes that its annual record bookings in 2007 reflect success in this effort.

From a geographical perspective, the company continues to see solid investment by its customers in the United States across its core markets. Internationally, where Flowserve receives approximately two-thirds of its business, the company also sees strength in its markets, including strong returns from its investments in China, India, Middle East and Latin America.

Based on this strength in the company's end markets, Flowserve plans to increase its capital spending in 2008 over 2007 amounts in order to capitalize on projected future growth through more aggressive market penetration strategies and expansion of its global footprint in both low cost manufacturing capacity and Quick Response Centers (QRC).

"We continue to see strong prospects for growth in our key end markets, and are excited about our outlook for 2008," said Lewis Kling, Flowserve President and Chief Executive Officer. "The expected EPS in 2008 is a result of our planned continued operational improvement driving both top and bottom line growth, as well as the anticipated tax planning strategies that are targeted to attain the lower end of an effective tax rate range of between 30 to 35 percent."

[BigSully1]

Flowserve Reports Record Full Year EPS of $4.46, up 121% and Record Fourth Quarter EPS of $1.67, an Increase of 188%, Also Reports Record Full Year Cash Flow from Operations of $417 Million, and Record Fourth Quarter Sales of $1.11 Billion, up 26%
Wednesday February 27, 5:05 pm ET 
Reaffirms 2008 Full Year EPS Target Range of $5.10 to $5.40


DALLAS--(BUSINESS WIRE)--Flowserve Corp. (NYSE: FLS - News), a global leader in the fluid motion and control industry, announced today record full year and fourth quarter performance on earnings per share, sales and bookings in its 2007 Form 10-K filed with the Securities and Exchange Commission. The company announced full year and fourth quarter fully diluted EPS of $4.46, up 121% and $1.67, up 188%, respectively, and full year and fourth quarter operating income of $410 million, up 71% and $137 million, up 117%, respectively. EPS and operating income outpaced strong full year and fourth quarter sales of $3.76 billion, up 23%, and $1.11 billion, up 26%, respectively. Flowserve also posted record full year and fourth quarter bookings of $4.32 billion and $1.12 billion, respectively, up 19% for both the full year and the fourth quarter as the company continued to see robust end markets.
Additionally, the company reaffirmed its 2008 full year EPS target range of between $5.10 and $5.40.

Highlights:

Full Year 2007 (all comparisons versus full year 2006 unless otherwise noted)

Record full year fully diluted EPS of $4.46, up 121%

Strong operating margin improvement of 310 basis points to 10.9%

SG&A decreased as a percentage of sales by 280 basis points to 22.8%

Record cash flow from operations of $417 million, up 156%

Record operating income of $410 million, up 71%

Record sales of $3.76 billion, up 23%

Record bookings of $4.32 billion, up 19%

Record backlog of $2.28 billion, up 40% compared to December 31, 2006

Tax benefits amounting to approximately $15 million reduced the full year tax rate to 29.0%



Fourth Quarter of 2007 (all comparisons versus the fourth quarter of 2006 unless otherwise noted)

Record fourth quarter fully diluted EPS of $1.67, up 188%, including net discrete gains of approximately $0.31

Included in this gain were net discrete SG&A benefits from both favorable legal developments and the sale of certain assets of approximately $15 million or EPS of $0.17, and tax benefits of approximately $8 million, which reduced the quarterly tax rate to 25.1% or EPS of $0.14

Substantial operating margin improvement of 520 basis points to 12.4%

Gross margin significantly improved by 50 basis points to 33.0%

SG&A decreased as a percentage of sales by 470 basis points to 21.0%

Record operating income of $137 million, up $74 million or 117%

Record fourth quarter sales of $1.11 billion, up 26%

Record fourth quarter bookings of $1.12 billion, up 19%



Discussion and analysis of the full year 2007 financial results (all comparisons versus the full year of 2006 unless otherwise noted)

Fully diluted EPS increased sharply to a full year record $4.46 per share, up 121%. EPS was higher primarily due to improvements in operating income driven by an increase in sales of 23%, an improvement in gross margin of 30 basis points and a reduction of 280 basis points for Selling, General & Administrative (SG&A) expenses as a percentage of sales. Also, improving EPS was a lower full year 2007 tax rate, resulting primarily from favorable tax audit resolutions and a tax law change in the second quarter, as well as the reversal of valuation reserves in certain jurisdictions in the fourth quarter.

Cash flow from operations increased to $417 million, up $254 million or 156% as a result of strong performance and working capital improvement, including increased advance customer payments for large project orders. This strong cash flow supported, in 2007, the repurchase of 700,000 shares of common stock for $45 million, $32 million of pension plan contributions, common stock dividends of $26 million and $89 million of capital expenditures, which helped support improved operational capabilities and the company's expanded global footprint.

Sales increased significantly to $3.76 billion, up $702 million or 23%. This increase includes currency benefits of approximately $178 million. The strong sales growth reflects broad strength in the company's key markets across the globe, as well as strong conversion of earlier bookings into shipments.

Gross profit increased to $1.25 billion, up $240 million or 24%. Gross margin increased by 30 basis points to 33.2%. The increase reflected higher sales volumes, which positively impacted fixed cost absorption, and the success of the company's operational excellence initiatives.

SG&A expenses as a percentage of sales improved 280 basis points to 22.8%. The improvement was primarily attributable to leverage from higher sales, leverage of selling resources and effective ongoing cost containment efforts. The improvement was also impacted by a $6 million gain on the sale of the company's TKL rail assets in the fourth quarter of 2007, and the non-recurrence of 2006 stock modification and realignment charges of $6 million and $12 million respectively. Legal fees and accrued resolution costs related to the previously announced foreign subsidiaries' involvement with the United Nations Oil-for-Food Program of approximately $11 million in the first three quarters of 2007 were partially offset by the net gain from other favorable discrete legal developments in the fourth quarter of 2007. SG&A expenses increased to $857 million, up $74 million or 10%, while sales increased 23%, demonstrating the company's effective cost leverage in 2007.

Operating income increased significantly to $410 million, up $170 million or 71%, benefiting from significantly higher sales, improved gross profit and reduced SG&A expenses as a percentage of sales. Operating margin increased 310 basis points from 7.8% to 10.9%.

Full year bookings increased to a record $4.32 billion, up $702 million or 19%, including currency benefits of approximately $208 million. The increase was driven primarily by strength in the oil and gas and chemical markets across the company. Additionally, the power industry continued to be strong for the Flowserve Pump Division (FPD) and Flow Control Division (FCD), with the water and mining industries also contributing to the growth in FPD. Backlog increased to $2.28 billion, up 40% at year end, including currency benefits of approximately $140 million, from $1.63 billion on December 31, 2006.

Discussion and analysis of the fourth quarter of 2007 financial results (all comparisons versus the fourth quarter of 2006 unless otherwise noted)

Fully diluted EPS increased sharply to a fourth quarter record of $1.67 per share, up 188%, including discrete gains in the quarter of approximately $0.31. EPS was higher primarily due to improvements in operating income driven by an increase in sales of $1.11 billion, up $226 million or 26%, an improvement in gross margin of 50 basis points to 33.0%, and a reduction of SG&A as a percentage of sales of 470 basis points to 21.0%. The discrete gain of $0.31 per share for the quarter arose from gains of $15 million reflected in SG&A, or ($0.17) per share from the sale of the TKL Rail assets and net gains from favorable discrete legal developments, plus $8 million of discrete tax benefits, or ($0.14) per share.

Sales improved significantly to $1.11 billion, up $226 million or 26%. This increase included currency benefits of approximately $69 million. Increased sales growth reflected strong conversion of earlier bookings into shipments in the quarter and strong demand in the oil and gas market.

Gross profit increased to $366 million, up $79 million or 28%. Gross margin increased by 50 basis points to 33.0%. This increase reflected higher sales volumes, which positively impacted fixed cost absorption, and the success of the company's ongoing operational excellence initiatives.

SG&A expenses as a percentage of sales decreased 470 basis points to 21.0%. The improvement was primarily attributed to leverage from higher sales, as well as ongoing cost containment efforts. The improvement included the previously discussed impact of the sale of TKL rail assets and favorable resolutions of certain discrete legal matters in the fourth quarter of 2007, as well as the non-recurrence of approximately $10 million of realignment costs in 2006. In addition, the fourth quarter in 2007 included increased broad-based employee incentive compensation expenses, due to continued strong company performance in the quarter, which increased awards under company incentive plans. SG&A expenses increased to $233 million, up $6 million or 3%, while sales increased 26%.

Operating income increased significantly to $137 million, up $74 million or 117%, benefiting from significantly higher sales, improved gross profit and reduced SG&A expenses as a percentage of sales. Operating margin increased 520 basis points from 7.2% to 12.4%.

Bookings increased to $1.12 billion, up $181 million or 19%, including currency benefits of approximately $72 million. This was the fourth consecutive quarter of bookings exceeding $1 billion, and is a fourth quarter record. The increase was driven primarily by strong growth across the chemical, power and general industry markets in FPD, continued strength in the oil and gas, chemical, power and pulp and paper markets, particularly Asia for FCD, and strong growth in project and aftermarket bookings in Europe, the Middle East and Africa, collectively (EMA), and North America for the Flow Solutions Division (FSD).

Flowserve Pump Division

Bookings for the fourth quarter of 2007 rose to $682 million, up $117 million or 21%, including currency benefits of approximately $47 million. The increase was primarily attributed to continued strength in the oil and gas, chemical, power and general industry markets. Bookings for full year 2007 increased to $2.55 billion, up $441 million or 21%, including currency benefits of approximately $133 million. This increase was primarily attributed to increased bookings in EMA, North America and Latin America, and was primarily spread across the oil and gas, chemical, water and general industry markets. Fourth quarter original equipment and aftermarket bookings grew 28% and 10%, respectively, and increased 25% and 14%, respectively, for the full year. Original equipment bookings increased to 65% of total bookings in the fourth quarter, up from 62% in the fourth quarter of 2006. Original equipment bookings increased to 64% of total bookings for the full year, up from 62% for 2006.

FPD sales for the fourth quarter of 2007 increased sharply to $655 million, up $154 million or 31%, including currency benefits of approximately $44 million. The increase in sales was principally the result of strength across the global oil and gas market, particularly in EMA and Latin America. Sales for the full year 2007 increased to $2.10 billion, up $478 million or 30%, including currency benefits of approximately $108 million. The increase in sales was primarily attributed to significantly increased sales in EMA and Latin America, reflecting solid throughput of orders in Flowserve production facilities, most notably in the oil and gas market. Both original equipment and aftermarket sales growth accelerated significantly in the fourth quarter, up 38% and 24%, respectively. Original equipment sales increased to 61% of total sales in the fourth quarter, up from 58% in the fourth quarter of 2006. Original equipment sales increased to 60% of total sales for the full year, up from 57% for 2006.

FPD gross profit for the fourth quarter increased to $188 million, up $43 million or 30%. Gross margin for the fourth quarter of 2007 decreased 10 basis points to 28.7%. The fourth quarter of 2007 gross margin decrease was primarily attributable to an increase in original equipment sales as a percent of total sales partially offset by favorable absorption of fixed manufacturing costs, as compared to the same period in 2006. Gross profit for the full year 2007 increased to $597 million, up $139 million or 30%. Gross margin for the full year 2007 of 28.5% increased slightly from 28.3% in 2006. The full year 2007 gross margin increase was primarily attributable to increased sales, which favorably increased absorption of fixed manufacturing costs, and operational excellence initiatives, which were partially offset by the aforementioned shift in sales mix to original equipment, which historically carries a lower margin, but leads to greater aftermarket opportunities.

FPD operating income for the fourth quarter of 2007 increased to $98 million, up $40 million or 68%, including currency benefits of approximately $8 million. The significant increase is attributed to the $43 million increase in gross profit partially offset by SG&A costs, which increased at a lower rate. SG&A as a percent of sales improved 340 basis points. Fourth quarter operating margin improved from 11.7% to 15.0%. Operating income for the full year 2007 increased to $274 million, up $102 million or 59%, including currency benefits of approximately $18 million. The increase was primarily due to increased gross profit of $139 million, partially offset by increased SG&A costs. SG&A as a percent of sales improved 220 basis points for the full year 2007. The improvement in SG&A as a percent of sales was attributable to leverage from higher sales, as well as ongoing efforts to contain costs, the previously discussed gain on sale of TKL rail assets in the fourth quarter of 2007 and previously mentioned realignment charges of $5 million recorded in 2006 that did not recur. Full year 2007 operating margin improved from 10.7% to 13.1%.

Flow Control Division

Bookings for the fourth quarter of 2007 increased to $298 million, up $43 million or 17%, including currency benefits of approximately $17 million. The growth was primarily attributable to continued strength in the oil and gas, chemical, power and pulp and paper markets, particularly in Asia. Bookings for full year increased to $1.25 billion, up $185 million or 17%, including currency benefits of $56 million. The growth in bookings was primarily attributable to the sustained strength of FCD key end-markets and the ability of the division to capitalize on the increased demand.

FCD sales for the fourth quarter of 2007 increased to $315 million, up $48 million or 18%, including currency benefits of approximately $18 million. The increase was principally the result of continued strength across FCD's global oil and gas, chemical and power markets. Sales for the full year 2007 increased to $1.16 billion, up $168 million or 17%, including currency benefits of approximately $52 million. The increase was principally the result of strength in both project and aftermarket business across virtually all of FCD's valve product offerings.

FCD gross profit for the fourth quarter increased to $110 million, up $22 million or 25%. Gross margin increased 190 basis points to 35.0% for the fourth quarter of 2007 reflecting improved absorption on higher sales, increased higher margin aftermarket spare parts business and traction on continuous improvement process (CIP) initiatives. Gross profit for the full year 2007 increased to $406 million, up $68 million or 20%. Gross margin for the full year 2007 of 34.9% increased 90 basis points from 34.0% in 2006. In addition to the impact of improved absorption due to higher sales, gross profit was also impacted by FCD's successful relocation of several product lines and its successful implementation of various continuous improvement, lean manufacturing and supply chain management initiatives.

Operating income for the fourth quarter of 2007 increased to $45 million, up $19 million or 72%, including approximately $3 million in currency benefits. Operating margin showed solid improvement, up 450 basis points from 9.8% to 14.3%. Operating income for the full year 2007 increased to $164 million, up $48 million or 41%, including currency benefits of approximately $9 million. Full year 2007 operating margin improved from 11.6% to 14.1%. The fourth quarter and full year 2007 increase in operating income is due primarily to increased gross profit, partially offset by SG&A expenses which increased at a lower rate.

Flow Solutions Division

Bookings for the fourth quarter of 2007 increased to $154 million, up $25 million or 20%, including currency benefits of approximately $7 million. Strongest rates of growth occurred in EMA, Latin America and Asia. Bookings for full year increased to $593 million, up $88 million or 17%, including currency benefits of $19 million. All global regions produced growth in FSD project bookings, with particular strength in oil and gas and mining markets of North America, Latin America and Asia, and in the Asian chemical market. Increases in aftermarket bookings occurred primarily in EMA and Asia.

FSD sales increased in the fourth quarter of 2007 to $160 million, up $30 million or 23%, including currency benefits of approximately $7 million. Sales for the full year 2007 increased to $565 million, up $68 million or 14%, including currency benefits of approximately $18 million. This increase was driven by increased project sales in North America, Latin America and Asia and increased aftermarket sales in EMA due in part to expanded Quick Response Center (QRC) capacity, which enabled additional rapid order turnarounds to customers.

FSD gross profit for full year 2007 increased to $70 million, up $15 million or 27%. Gross margin for the fourth quarter of 2007 increased 160 basis points to 43.6%. Gross profit for the full year 2007 increased to $253 million, up $34 million or 15%. Gross margin for the full year 2007 of 44.8% increased 70 basis points from 44.1% in 2006. This increase was caused primarily by a product shift to the higher margin aftermarket business in EMA, improved pricing and improved fixed cost absorption from higher sales. The increase was partially offset by higher materials costs and a shift in North America sales towards lower margin project business, which will build FSD's installed base and create resulting aftermarket opportunities.

Operating income for FSD for the fourth quarter of 2007 increased to $30 million, up $8 million or 36%, including approximately $2 million in currency benefits. Operating income for the full year 2007 increased to $112 million, up $13 million or 13%, including currency benefits of approximately $5 million. The increase was primarily due to the significant improvement in gross profit previously described above, partially offset by SG&A costs which increased at a lower rate. Fourth quarter operating margin improved sharply, up 180 basis points to 18.8%. Full year 2007 operating margin of 19.8% was flat compared with prior year margins, despite FSD's increased expenses in expanding its global footprint of Quick Response Centers (QRC) to better serve its customers.

2008 Outlook

"2007 was truly an outstanding year for Flowserve," said Lewis M. Kling, Flowserve President and Chief Executive Officer. "We set out to achieve a number of aggressive goals for the company, and our team executed extremely well across all fronts. As we enter 2008, we continue to see excellent opportunities for the company. Our end markets remain strong, and our initiatives to further improve execution at the company continue to gain significant traction. As a result, we reiterate our previous 2008 guidance range for EPS of $5.10 to $5.40 and look forward to another successful year for the company," said Kling.

Conference Call

The conference call will take place on Thursday, February 28, at 10:00 AM CST (11:00 AM EST)

Lewis Kling, President and Chief Executive Officer, and Mark Blinn, Senior Vice President, Chief Financial Officer and Latin America operations will be presenting.

The call can be accessed at Flowserve's Web site at www.flowserve.com under the Investor Relations section.

About Flowserve Corp.

Flowserve Corp. is one of the world's leading providers of fluid motion and control products and services. Operating in more than 55 countries, the company produces engineered and industrial pumps, seals and valves as well as a range of related flow management services. More information about Flowserve can be obtained by visiting the company's Web site at www.flowserve.com.

SAFE HARBOR

[BigSully1]

Flowserve Announces Share Repurchase Program of up to $300 Million, Declares 67% Increase in Quarterly Cash Dividend from $0.15 Cents per Share to $0.25 Cents per Share
Wednesday February 27, 5:07 pm ET


DALLAS--(BUSINESS WIRE)--Flowserve Corp. (NYSE: FLS - News) today announced that its board of directors has authorized a program to repurchase up to $300 million of its outstanding common stock. Shares may be repurchased from time to time by the company at its discretion in the open market or through privately negotiated transactions, depending on prevailing market conditions, alternative uses of capital and other factors. The share repurchase program does not have an expiration date and may be limited or terminated at any time without notice. As of February 26, 2008 the company had 57,324,322 shares outstanding.
ADVERTISEMENT


The company's board of directors also authorized an increase in the quarterly cash dividend to $0.25 per share. The quarterly dividend increased from $0.15 per share, or 67% over the previous quarterly rate. The declared dividend is payable on April 9, 2008 to shareholders of record as of the close of business on March 26, 2008.

"These uses of cash demonstrate our confidence in the company's ability to deliver strong cash flows in the future, as well as the sharp focus we have on providing solid returns to our shareholders," said Lewis Kling, Flowserve President and Chief Executive Officer.

While Flowserve currently intends to pay regular quarterly dividends for the foreseeable future, any future dividends will be reviewed individually and declared by the board at its discretion, dependent on the board's assessment of the company's financial condition and business outlook at the applicable time.
------------------------------------------------------

[BigSully1]

update

[BigSully1]

Looks like a little cup w/handle breakout. Would like to see a little more volume though. I'm seeing a lot of low volume breakouts, especially today. I guess we'll know soon if they are to be successful or destined to fail, but I have been taking profits in a lot of stuff and have begun hedging again - prec metals, other metals, shorts and ultrashorts, etc.

[BigSully1]

Yep, FLS fell back into it's base, not ready yet.

[daiwa]

Same story as with GTLS boys, just another shorting tool now.

[BigSully1]

Blew it out on top and bottom lines and raises guidance. Way ta go FLS.

Flowserve Reports Record First Quarter EPS of $1.53, up 159%
Monday April 28, 5:03 pm ET 
Also Reports Record Quarterly Bookings of $1.43 Billion, up 31% and Record First Quarter Sales of $993 Million, up 24%
Significantly Raises 2008 Full Year EPS Target Range Forecast to Between $5.90 and $6.20